EVERYTHING
AUTO
4 • EVERYTHING AUTO • WINTER 2016-17
NOW IS A GREAT TIME TO
BUY A NEW VEHICLE
Low interest rates, financing options make new cars affordable. Historically speaking, there may never be a better time to purchase a new car.
Not only are cars more advanced than ever before – with new technologies and reliable, fuel-saving
drivetrains that can save drivers money – but they're also available during a “perfect storm” of financial
conditions that make it a great time to consider purchasing a new vehicle.
LOW INTEREST RATES
Everyone knows that interest rates can make a big
difference over the life of a loan. A few short years ago, top-
tier car buyers may have had to pay 10-percent interest or
even higher to purchase a new vehicle, while people with
less-than-perfect credit would have to pay even more.
Today's interest rates, though, are drastically lower than
they were just three or four years ago. The financial crisis
of 2008 caused central bankers to lower interest rates, and
they've kept them near record lows ever since.
That means buyers can save thousands of dollars
compared to what they would have paid before 2008. It
makes new cars more affordable for more people, and it
lowers monthly car payments for everyone.
MAXIMIZE
YOUR VEHICLE’S
RE$ALE VALUE
Now is the perfect time
to upgrade your vehicle
Dealerships are often hot spots for
discounts on both new and used cars.
But don’t forget about sprucing up the one
you’ll be trading in. You can get more money
out of your current car at transaction time if
you make sure it’s up to par.
Dealerships use resources like Kelley Blue
Book or the National Automobile Dealers
Association to calculate the worth of your car
on the used market.
Obviously, factors such as age and make of
your car are out of your control. Some models
have great reputations for holding their value,
AVAILABLE FINANCING
Another reaction to the 2008 financial crisis was a
tightening of lending standards. For a brief time, unless you
had spotless or near-perfect credit, it was all but impossible to
qualify for a car loan.
Fortunately, the auto financing world has returned to a
more reasonable place since then. Car makers and banks
reported making more loans to people with lower credit
scores in 2012, and dealers are saying that it's easy to find
financing for people with all types of credit histories.
Between the historically low interest rates and more
reasonable lending standards, now may be the perfect time
to shop for a new car. There's no way of knowing how long
these current financial conditions could last.
while others may require expensive parts and
extensive labor for repair.
While you may not be able to do much to
change these dynamics, what you can impact
is your car’s condition. How you maintain
your car over the course of ownership can
make a big difference in how much money you
can expect when the time comes to trade it in.
• Carry out a thorough cleaning inside and out
every two weeks. This will help keep the
interior fabric free of dirt that can fray its color.
It also will save your exterior paint finish from
being harmed by a buildup of pollutants.
• Fix dings promptly before they turn into rust
spots. Just like any other maintenance, the
quicker you take care of a small issue, the less
likely it is that it will snowball into a massive
one.
• Park far away from other cars or shopping
carts. This will help you avoid dings or
scratches that can require expensive fixes.
• Avoid smoking or eating in your car.
Cigarette burns and food stains can drop your
car’s value in a hurry.
• Never neglect oil changes, which when done
regularly can lengthen the life of your engine.